OVERLAND PARK, Kan.—Following months of speculation, the Walt Disney Co. finally announced plans to launch a family-oriented wireless service using Sprint Corp.’s nationwide network.
The Walt Disney Internet Group, which will oversee the newly formed Disney Mobile service, said it plans to offer wireless voice services, exclusive handsets and a package of features, applications and entertainment content targeting families. WDIG also said it plans to tap into Sprint’s CDMA2000 1x EV-DO high-speed wireless data capabilities, which the carrier is expected to launch this summer.
“Disney Mobile will combine Disney’s heritage of quality and unparalleled brand equity in a family market with Sprint’s leadership in wireless voice and data services to create an engaging and easy-to-use mobile experience,” said Steve Wadsworth, president of WDIG. “This enhanced mobile service offering will ensure Disney’s place as a leader in the family mobile market, one of the fastest-growing segments of the mobile industry. We’ll be in investment mode for the next several years, but expect that over the long run this initiative will generate solid financial returns for the company.”
The Disney Mobile service will use the increasingly popular mobile virtual network operator model and is scheduled to launch next year. Disney will be responsible for all aspects of the service, including product development, distribution, marketing, customer relations, billing and other business operations.
WDIG added that Disney Mobile will be led by George Grobar, senior vice president and general manager, who will report directly to Wadsworth. Grobar recently served as VP and GM of Disney Auctions.
WDIG said it will continue to distribute mobile content through carriers and distributors around the world. Disney’s ESPN unit announced last year plans to launch a sport-focused MVNO using Sprint’s network. The ESPN Mobile service is expected to launch later this year.
